Report Summary
Department of Revenue
Financial Audit
For the Year Ended June 30, 1993
| Public Release Date: May 4, 1994 |
No. 94-17 |
Objectives
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Evaluate Internal Control Structure: Tax assessments, collections,
or refunds for individual and corporate income taxes, withholding
taxes, insurance premium taxes, gasoline and special fuel taxes.
Grant payments or credits for local government aids, homestead and
agricultural credits, and renters property tax credits.
-
Test Compliance with certain Finance-Related Legal Provisions.
Conclusions
We found eight areas where the internal control structure needed
improvement:
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The department does not adequately secure critical programs.
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Controls over the assignment of temporary passwords are
inadequate.
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Control procedures over the review of certain withholding tax
information and corporate income tax returns need improvement.
-
Receipt reconciliations were not performed on a monthly basis.
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Controls over outstate deposits need improvement.
-
Controls over transferring sales tax revenue to the local
government trust fund need improvement.
-
The department's review of insurance premium tax returns is
insufficient.
We found two departures from finance-related legal provisions:
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Penalties and interest on electronic funds transfer tax payments
are not assessed.
- A consultant was overpaid under a price contract agreement.
